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Indonesia bans goods transactions on social media platforms

Indonesia has banned goods transactions on social media platforms to rein in direct sales on major platforms which are said to harm millions of small businesses, according to Trade Minister Zulkifli Hasan.
Indonesia bans goods transactions on social media platforms ảnh 1Indonesian sellers livestream on TikTok. (Photo: AFP/VNA)

Jakarta (VNA) – Indonesia has banned goodstransactions on social media platforms to rein in direct sales on majorplatforms which are said to harm millions of small businesses, according toTrade Minister Zulkifli Hasan.

Indonesian authorities recently have called for a regulationgoverning social media and e-commerce, with offline sellers seeing theirlivelihoods threatened by the sale of cheaper products on TikTok Shop and otherplatforms.

Speaking at a press conference on September 27, MinisterZulkifli Hasan said that the regulation started taking effect a day before andthat social commerce platforms will have a week to comply with the new rule.

Social commerce can place ads like TV, but it mustn't betransactional. They can't open shop, can't directly sell, the minister said.

Laws in the country did not cover direct transactions throughsocial media platforms such as TikTok, Facebook or Instagram before the newregulation./.

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